Global Insights

Two years of being a listed company; two years of pandemic. What changes have you seen; where does the future lie?

Hendrik du Toit, Ninety One's Founder and CEO interviewed by Richard Garland at Global Insights 2022.

17 Jun 2022

3 minutes

Hendrik du Toit
Hendrik du Toit, Ninety One's Founder and CEO interviewed by Richard Garland at Global Insights 2022.

The fast view

Tough times, but keep a sense of perspective

  • These are very challenging markets. But there are also many positive changes in the world, not least because of the energy transition and new technologies. You just have to find them.
  • It is important to keep a sense of perspective. Over the long-term, equities have delivered. If we trust the entrepreneurs and allocate capital to the right ones, the returns take care of themselves.

Ninety One will stay focused

  • The key thing for us at Ninety One is to create a supportive environment for our investment professionals, making sure they have the right resources – both in terms of technology and people – so they can look after our clients’ money and provide the service our clients and their advisors expect.
  • Preserving our culture is so important for us. We want to be the ‘human company’. You can always see a person at Ninety One, from the reception desk onwards, and many of our people have been with us for a long time.

Wealth management’s big challenges

  • A major challenge for the wealth management industry is to get better at explaining its value proposition. The risk is that the democratisation of finance, from crypto to online forums, may cause people to forget the very significant value that this sector has delivered over the years to its clients – particularly in the UK, which has a very strong advisor community.
  • The second big challenge is to get faster at adapting to new technology. We all – asset managers and wealth managers alike – need to find and embrace technologies that ease the burden on our clients.

The sustainability transition must be inclusive

  • In the transition to a more sustainable economy, we must bring the whole world with us. If people in emerging markets can’t put the lights on for their kids to study in the evening, that’s unfair. Moreover, if we shut out emerging economies because their carbon footprints are too high as their electricity grids have not transitioned, the world will become a more divided place and that isn’t in anyone’s interest.
  • The next issues to tackle are plastic and the textile industry. There is no reason why we can’t use the power of finance to contribute to the change we need, without sacrificing returns.
  • What the finance industry has done badly to date, with its focus on ESG scorecards and so on, is that it has not priced the as-yet unmeasured cost of companies’ wider impacts, for which they will increasingly be held liable. But thank goodness we are now thinking about it.


All investments carry the risk of capital loss

Authored by

Hendrik du Toit
CEO

Important Information

This communication is provided for general information only should not be construed as advice.

All the information in is believed to be reliable but may be inaccurate or incomplete. The views are those of the contributor at the time of publication and do not necessary reflect those of Ninety One.

Any opinions stated are honestly held but are not guaranteed and should not be relied upon.

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